Now, get your driving licence insured

Sydney, Jan 10 (UNI) Lost your driving licence? Not to worry, now there is an insurance policy to cover the consequences.

The Loss of Licence Assistance policy was developed by the National Underwriting Agency for Australia.

It is designed to provide up to 1,000 dollars to cover transport-related costs a month for three months to drivers with suspended licences.

Similar policies are very much in vogue in Britain.

''Though I can see some benefits, the insurance company has to take care that it doesn't encourage people to take risks,'' Chairman of the NSW Staysafe committee Geoff Corrigan was quoted by the Sydney Morning Herald as saying.

''In 2007, NSW had the lowest accidents and deaths on the road for 20 years.

''The message has started to get through to people and I hate to think that people would take out this policy and think they can drive with impunity.

Though the policy eases the financial burden of a licence suspension, Noel Johns a representative for National Underwriting Agency, says that drivers are still getting punished for their offences.

Mr Johns said he believe there was a market for such a policy in Australia.

''The policy is being introduced because of a proliferation of speed cameras that catch the normal everyday motorists who usually do not speed and who were caught just over the limit and find themselves accumulating points and receiving infringement notices,'' he said.

However, offences such as drink driving and driving while on a mobile phone would not be covered.